Removal of the provision has gained bipartisan backing in response to complaints from small business groups that it would become a paperwork nightmare.

The provision requires businesses to file a so-called 1099 forms identifying anyone to whom they pay $600 or more in a year, with copies sent to suppliers.

It is aimed at ensuring greater tax law compliance and raise an estimated $17 billion over 10 years to help cover the cost of expanding health coverage to the uninsured.

One of the proposed amendments was offered by Republican Senator Mike Johanns, while the other was introduced by Baucus.

Johanns’ sought to fill the revenue gap by directing budget experts to find the money in unspent federal funds. The vote to waive the rules on his measure came up short, 61-35.

Baucus’ proposal did not offer a way to make up for lost revenue. The vote to waive the rules on his amendment failed, 44-53.

While there is plenty of support to repeal the provision, some fear it may provide momentum to Republican calls to “repeal and replace” President Barack Obama’s overall overhaul this year of the U.S. healthcare system.

Republicans cite the provision as an example of how the embattled law can burden employers and curb job creation.

But backers of the law say eliminating the tax provision would merely provide some needed and anticipated tweaking of the massive and landmark measure.